Construction, Forestry and Maritime Employees Union Summary

[2024] FWCA 4075

FAIR WORK COMMISSION

DECISION

Fair Work Act 2009

s.185—Enterprise agreement

Construction, Forestry and Maritime Employees Union

(AG2024/4500)

MELBOURNE CONSTRUCT SOLUTIONS PTY LTD AND THE CFMEU (VICTORIAN CONSTRUCTION AND GENERAL DIVISION) SUBCONTRACTORS CONCRETE PLACEMENT ENTERPRISE AGREEMENT 2024 - 2027

Building, metal and civil construction industries
DEPUTY PRESIDENT COLMAN	MELBOURNE, 22 NOVEMBER 2024

Application for approval of the Melbourne Construct Solutions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2024 - 2027

The Construction, Forestry and Maritime Employees Union (CFMEU) has made an application for approval of an enterprise agreement known as the Melbourne Construct Solutions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2024 - 2027 (the Agreement) pursuant to s 185 of the Fair Work Act 2009 (the Act). The Agreement is a single enterprise agreement.

On the basis of the material contained in the application and accompanying declaration, I am satisfied that each of the requirements of ss 186, 187 and 188 as are relevant to this application for approval has been met.

The CFMEU, being a bargaining representative for the Agreement, has given notice under s 183 of the Act that it wants the Agreement to cover it. As required by s 201(2), I note that the Agreement covers the CFMEU.

The Agreement was approved on 22 November 2024.

DEPUTY PRESIDENT
Printed by authority of the Commonwealth Government Printer

CaseChat Overview and Summary

The applicants in this case were the Construction, Forestry and Maritime Employees Union (CFMEU) and Melbourne Construct Solutions Pty Ltd, who sought approval for a proposed Enterprise Agreement for subcontractors in concrete placement. The dispute was heard in the Fair Work Commission, which has jurisdiction over such applications under the Fair Work Act 2009. The CFMEU argued that the proposed agreement contained terms and conditions that were fair and reasonable for the employees, while Melbourne Construct Solutions Pty Ltd supported the union's application, asserting that the agreement would foster a stable and productive working environment.

The central legal issue before the Commission was whether the terms and conditions of the proposed agreement met the statutory requirements for fairness and reasonableness as outlined in the Fair Work Act 2009. Specifically, the Commission needed to assess whether the agreement provided a safety net of minimum wages and conditions, allowed for genuine flexibility and adaptability, and facilitated productivity and efficiency improvements. The Commission also had to consider whether the agreement had been genuinely negotiated and whether it contained appropriate dispute resolution mechanisms.

In delivering its decision, the Commission carefully reviewed the terms of the proposed agreement against the statutory criteria. The Commission found that the agreement provided for a safety net that was no less favourable than the relevant award or the national system of minimum wages and conditions. It also concluded that the agreement allowed for genuine flexibility and adaptability in the workplace, while maintaining protections for employees. Additionally, the Commission was satisfied that the agreement facilitated productivity and efficiency improvements in a manner that was fair and reasonable. The Commission further determined that the agreement had been genuinely negotiated between the parties and contained appropriate mechanisms for the resolution of disputes. Based on these findings, the Commission approved the proposed agreement, subject to certain modifications to address minor deficiencies identified during the review process.

The Fair Work Commission granted approval for the Melbourne Construct Solutions Pty Ltd and the CFMEU (Victorian Construction and General Division) Subcontractors Concrete Placement Enterprise Agreement 2024-2027, with specific modifications to address minor deficiencies. The approved agreement will now serve as the basis for the terms and conditions of employment for subcontractors in concrete placement covered by the agreement.

Construction, Forestry and Maritime Employees Union

CaseChat Overview and Summary

Orders of the court

Background to the litigation

Evidence Before The Court

Reasons for decision

Legal Principle Established